The Federal Government has terminated the 98km Oyo-Ogbomoso road contract previously awarded to Reynolds Construction Company (RCC).
Minister of Works, Dave Umahi, announced the decision on Thursday at a Federal Roads Stakeholders’ engagement in Ibadan, Oyo State. He stated that the contract would soon be re-awarded to a new contractor.
The Oyo-Ogbomoso road has been plagued by delays, leading to frequent accidents and economic losses for traders and farmers who rely on the route, a key link between northern and southern Nigeria.
The government has recently cancelled other road contracts, including the Obajana-Benin Road projects, citing poor contractor performance. Similarly, the ₦740bn contract for rehabilitating the 82km Abuja-Kaduna road was terminated due to non-compliance by Julius Berger Plc.
Umahi warned that the government would not tolerate delays or inefficiencies from contractors, insisting that all funded projects must progress as planned.